• Time to sell off assets to pay the lawyers! Raj Rajaratnam, the scandal-plagued hedge fund billionaire who was arrested for fraud last October and has since been charged with masterminding the largest insider-trading racket in decades, has sold one of the apartments he owns at 60 Sutton Place South. The 8th-floor co-op, which the Galleon Group founder bought for $1.675 million in 2008, sold to Lewis Zuchman for $1.575 million. [Cityfile]

• Retired Lazard Frères partner Peter Smith (and the father of publicist/girl-about-town Bettina Prentice) has listed his 17-room apartment at 640 Park, the building that was home to former Lehman chief Dick Fuld until he sold his apartment last month for $25.87 million. The full-floor residence (above) is listed with Kathy Sloane of Brown Harris Stevens for $26 million. [NYP, BHS]
• Real estate investor Adam Gordon has dropped the price of his West 76th Street townhouse. The 10,500-square-foot manse, which hit the market for $25 million last November, is now listed for $23.5 million. [Cityfile, Corcoran]

♦ Spanx CEO Sara Blakely and her husband, Marquis Jets co-founder Jesse Itzler (left), have gone into contract to sell their 14th-floor condo at 15 CPW, less than a year after they picked up the place from Smart Flyer owner Michael Holtz for $8.5 million. The pad was most recently listed at $9.85 million. [Cityfile]
♦ Morgan Stanley managing director Guy Metcalfe, who paid $9.35 million for a five-bedroom apartment at 15 CPW in October and then re-listed the spread for $16.5 million just two weeks later, has now dropped the asking price to $13.75 million. [Cityfile, Corcoran]
♦ Xerox CEO Anne Mulcahy sold her 24th-floor apartment at 400 East 51st Street for $3.8 million to newly-appointed Novartis CEO Rober Pelzer. [NYO]

♦ Hilary Swank is reportedly in contract to buy a two-bedroom condo at the Superior Ink building in the West Village for $3.5 million. [WSJ]
♦ Kenneth Siskind, a managing director at Allen & Co., paid $3.15 million for a 12th-floor, three-bedroom apartment at 322 Central Park West. [Cityfile]
♦ Christopher Sinclair, the CEO of Cambridge Solutions in Greenwich, has picked up a four-bedroom vacation home in Palm Beach for $9.68 million. [Palm Beach Daily via TRD]
♦ Real estate investor Adam Gordon has listed his recently-renovated six-floor mansion at 54 Bond Street (which includes retail space on the first floor) for $36 million, just one year after buying the property for $15 million. [Curbed, Corcoran]